ReconAfrica has signed a memorandum of understanding (MoU) with the National Oil, Gas and Biofuels Agency (ANPG), Angola’s national concessionaire and regulator, to explore the Etosha-Okavango basin onshore Angola.
This move expands ReconAfrica’s asset portfolio, offering access to onshore Angola’s oil and gas sector at a low cost and with minimal work commitments.
The collaboration aims to leverage the potential of the Damara Fold Belt and Rift Basin, adding 5.2 million acres in Angola to ReconAfrica’s existing 6.3 million acres in Namibia.
ReconAfrica will hold 80% working interest in the MoU area, and the remaining 20% interest will be held by Sonangol, with exclusive rights for ReconAfrica during the MoU term.
Under the MoU, ReconAfrica will oversee geological studies, a regional oil and gas seep study, and plan a 2D seismic programme.
The company will also conduct detailed geochemical analysis and sampling over a two-year period.
ReconAfrica president and CEO Brian Reinsborough stated:“The encouraging technical results from our recent Naingopo exploration well on PEL 73 onshore Namibia have strengthened our belief in the significant hydrocarbon potential of the Damara Fold Belt play. Our regional geological models indicate that the promising Fold Belt play, known for hosting some of the world’s largest fields and covering extensive areas, likely extends into Angola.
“As a result, we are excited to be entering into a strategic MOU with ANPG. Recent regulatory reforms make Angola an attractive jurisdiction for new oil and gas exploration, and we look forward to working with ANPG and Sonangol as we progress our exploration initiatives.”
ReconAfrica has also announced plans to start drilling at Prospect I situated 47km from its Angolan MoU area onshore Namibia.
The company is targeting 365 million barrels of /medium oil and 1.9 trillion cubic feet (tcf) of natural gas on an unrisked basis, with risked resources estimated at 32 million barrels of oil (mbbl) and 140 billion cubic feet (bcf) of gas, all on a 100% interest basis.
